New Guy From Los Angeles

[Chris Reece]

Wow! This site is fantastic. For an information addict like myself this ought to provide lots of fixes! My name is Chris and I'm from Los Angeles, CA and I'm looking for all the help I can get.

Currently I have a few rental properties in Memphis, TN that I've purchased from "turnkey" companies. I was thrilled with the results in 2011.....2012, not so much. I have a very busy job that I love so I'm not looking to get into real estate full time but I end up with $50k - $80k extra in cash each year that I need to do something productive with and real estate is where I'd like it to be. I'm looking for all ideas on the best way to invest this cash for a decent cashflow that causes me as few headaches as possible. The forum posts on Memphis aren't too positive and reflect my current situation. I'm not completely against Memphis at this time but definitely looking for other ideas.

Thanks guys!

[Jeff Greenberg]

I give a great deal of praise to those that are able to invest in SFH beyond driving distance. Either you are spending a large chunk of your profit on management and/or one bad tenant or vacancy can eat up all of your profit plus some.

I feel much more comfortable with medium to large MF properties that can afford professional management. That is not to say that the PM doesn't need to be watched, but a few vacancies are not going to put you in the red.

If you have limited time, then here are a few suggestions.

1. Partner up with someone that has the time, but may not have the money.

2. Loan out your money to an HML.

3. Invest in notes, tax liens.

4. Invest in a syndicated investment of a large property.

How ever you invest, check them out make sure that they have experience and can be trusted.

If you are happy with a $250/month return on a 90K investment, you can do much better with any of the with fewer headaches.

You must do your due diligence.